A financial crisis in a New Jersey school district has deepened, with an independent audit revealing the district is now facing a staggering $17 million deficit — $2 million more than previously disclosed.
Parents, students and educators were stunned as both the public and members of the Hackensack school board learned the new total during a meeting Tuesday night. The revised figure includes the cost of higher health insurance premiums for the new year.
“Everything’s in: The budget’s gonna be $17 million short,” an auditor said during the meeting.
Parents are calling for accountability after the Hackensack School District discovered $15 million was missing from the budget. NBC New York’s Adam Harding reports.
Monica Brinson, a substitute teacher, reacted to the news with disbelief.
“What went through my head was, ‘You’ve gotta be kidding me.’ This is like catastrophic failure,” Brinson said.
As a result of the massive deficit, the Board of Education approved a state-mandated corrective action plan that includes cutting programs and eliminating dozens of jobs.
“The number [is] approximately 90 full-time positions to eliminate the structural deficit over the long term,” said Acting Superintendent Andrea Oates-Parchment.
The independent audit determined that the deficit likely resulted from years of financial mismanagement, including unaccounted hiring and the misuse of school funds. The board has filed a lawsuit against both the former superintendent — who is currently on leave — and the former business administrator.
The lawsuit alleges the two improperly balanced the budget by using undesignated funds, paid vendors for services never rendered, and hired staff recklessly.
“Beginning in May 2024… [the superintendent] began hiring new employees to various positions at salaries that the school district could not and cannot afford,” the board stated in legal filings.
Past school leadership is being blamed for money troubles in Hackensack, New Jersey. NBC New York’s Adam Harding reports.
An attorney for the superintendent did not respond to a request for comment, and NBC New York’s attempts to reach the former business administrator were unsuccessful.
But frustrations weren’t only directed at past leadership. Community members also voiced distrust in the current board.
“We don’t believe you. We don’t trust you,” one attendee said during public comment.
Students also made emotional appeals to protect teachers and staff from layoffs.
“To you, this may look like numbers on a spreadsheet,” said one high school senior. “But to us, these are people who are going to help us graduate.”
A special meeting is scheduled for Jan. 28, where the board is expected to detail and take further action on the approved plan.
This story was originally reported for broadcast by NBC New York. AI tools helped convert the story to a digital article, and an NBC New York journalist edited the article for publication.